Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Increasing demand for electricity, increase in energy consumption due to urbanization & industrialization, and growth of the oil and gas industry across Middle East region are the factors which are expected to surge demand for switchgears, and consequently aid in growth of the bus bar market over the forecast period.
Furthermore, growth in the petrochemicals, power generation & distribution, natural gas exploration, and telecommunications sector will further increase demand for bus bars in Middle East region. For instance, according to the International Trade Administration, in 2016, Saudi Arabia introduced an investment plan of US$ 14.7 billion to refurbish as well as develop electricity transmission grids and another US$ 13.7 billion for an efficient distribution of electricity in the country.
Moreover, countries in the Middle East such as Saudi Arabia and the UAE have derived strong revenues from the oil sector that has led to the healthy GDP growth rates, owing to increase in revenues from the oil and gas sector. According to World Bank, an international financial institution, the GDP growth rate of Saudi Arabia was 2.2%, and that of the UAE was 1.4%, in 2018.
Increasing implementation of sustainable power transmission facilities to achieve continuous rising electricity demand will propel growth of bus bar market in Middle East region. For instance, in 2017, Saudi Electricity Company (SEC) announced the construction of six power plants and building of five interconnecting 380 kV transmission lines which require 1,376 miles of electrical conductors at an estimated cost of US$ 1.46 billion. Thus, high demand for electric power is leading to increasing requirement for transformers in these countries, which in turns, boost the bus bar market growth in Middle East region during the forecast period.
Increasing adoption of electric vehicles will boost demand for bus bars during the forecast period. According to Coherent Market Insights’ analysis, in 2018, around 533 battery electric vehicles were sold across the MENA region. Electric vehicles (EVs) and hybrid-electric vehicles (HEVs) rely on power inverters, large-capacity battery packs, robust electric motor drives, and efficient distribution of power from charging source to battery and then throughout the vehicle.
Electric vehicles use a substantial amount of copper in batteries, inverters, copper rotor, electric motors, wiring, and in charging stations. According to International Copper Association (ICA), most cars use internal combustion engines that require up to 23 kg of copper, a battery electric vehicle uses 83 kg of copper, a plug-in hybrid electric vehicle uses 60 kg of copper, the hybrid electric vehicle uses 40 kg of copper, a battery-powered electric bus uses 224-369 kg of copper, and a hybrid electric bus uses 89 kg of copper which depends on the size of battery used.
Middle East held dominant position in the Middle East, North Africa, and Pakistan Bus Bar Market in 2020
Middle East held dominant position in the Middle East, North Africa, and Pakistan Bus Bar Market in 2020, accounting for 90.1% share in terms of value.
Middle East, North Africa, and Pakistan Bus Bar Market Report Coverage
||Market Size in 2020:
||US$ 996.4 Mn
|Historical Data for:
||2019 to 2027
|Forecast Period 2019 to 2027 CAGR:
||2027 Value Projection:
||US$ 1,462.5 Mn
- Middle East: Saudi Arabia, Qatar, UAE, Kuwait, Oman, Jordan, Iraq, Bahrain and Rest of Middle East
- North Africa: Algeria, Egypt, Morocco, Tunesia, and Rest of North Africa
- By Bus Bar Size (Tin-plated Bus Bar): 25 x X (1.60, 2.00, 3.00);40 x X (2.00, 2.50, 3.00, 4.00); 60 x X (5, 10, 12); 80 x X (3.00, 4.00, 5.00, 6.00); 100 x X (5.00, 8.00, 10.00, 12.00); 120 x X (10.00, 4.00) and Others
- By Bus Bar Size (Bare Copper Bus Bar): 80 x X, 90 x X, 100 x X, 125 x X and others.
- By Bus Bar Type: Bare Copper Bus Bar, Aluminum Bus Bar, And Tin Plated Bus Bar
- By Application: Distribution, Substation, Motor Control, Oil And Gas, And Others
Eaton Corporation, Hyundai Electric & Energy Systems, Luvata, Siemens AG, Mitsubishi Electric Corporation, General Electric, ABB Limited, Hitachi Ltd., Fuji Electric, Schneider Electric, Hyosung Corporation, Nexans S.A, Furukawa Electric Co., LTD., and Bahra Electric
- Increasing Energy Consumption Due To Urbanization And Industrialization Across Middle East Region
- Operational & Cost Benefits And Ease Of Maintenance Of Bus Bar Over Cables
|Restraints & Challenges:
- Fluctuation In Raw Material Prices
Figure 1: Middle East, North Africa, and Pakistan Bus Bar Market Share (%), By Region, 2020
Owing to presence of various market players Mitsubishi (and Luvata), Eaton, Hitachi, ABB, GE, Siemens, Alfanar Group, Schneider, among others accounted for largest share in Middle East Bus Bar Market in 2020 and is projected to retain its dominance during the forecast period.
Furthermore, Infrastructure investments such as airports, entertainment parks, ports, metro, and creation of free zones in the GCC region is one of the major factors that is expected to boost growth of busbar market in the country. For instance, according to Global Infrastructure Investment Index 2016, Qatar is one of the most attractive countries for infrastructure investments
Moreover, substantial developments have also been observed in the power infrastructure industry. Many new power generation plants are constructed, and the existing infrastructures are being renovated, thus impacting demand for busbars in Qatar. For instance, in 2018, Kahramaa – Qatar Power transmission project was planned in power & energy sector for around US$ 400 Mn.
Furthermore, increased in investments toward development of energy infrastructure projects to support electricity generation will further complement growth of the market
For instance, QRail Qatar Rail & Doha Metro infrastructure Projects are planned with investment of around US$ 18.5 Bn and is expected to complete by 2020.
Bare copper bus bar type segment is expected to drive the highest market growth during the forecast period
On the basis of bus bar type, the Middle East, North Africa and Pakistan bus bar market is segmented into bare copper bus bar, aluminum bus bar, and tin plated bus bar.
Bare copper bus bar segment is expected to be valued at US$ 653.0 million by 2027 from US$ 401.1 million in 2018, witnessing a CAGR of 5.6% over the forecast period from 2019 to 2027
Copper bus bar is the most commonly used bus bar for residential, commercial and industrial purposes. Copper bus bars are harder compared to aluminum bus bars, hence are ideal in complex current applications that require greater in-built resistance against corrosion and mechanical damage, so that it can provide better resistance in adverse weather conditions. Copper bars have less chance of developing problems in clamped joints due to cold metal flow under prolonged application of high contact pressure.
The temperature variations encountered under service conditions require certain amount of flexibility in the design. The lower coefficient of linear expansion of copper reduces the degree of flexibility required. Copper will therefore allow more compact installations in a variety of systems. Moreover, space considerations are of greater importance than weight.
Greater weight may make installation slightly more difficult, however, since electromagnetic stress in the bar is usually more severe than the stress due to its weight, the mounting design is largely unaffected. Such compact installation helps to reduce the overall costs, service costs and improve the reliability.
The higher melting point and thermal conductivity of copper reduce the possibility of damage resulting from hot spots or accidental flashovers in service.
These properties have led to increasing use of copper bus bars which is expected to facilitate growth of the copper bus bar segment over the forecast period.
Figure 2: Middle East, North Africa, and Pakistan Bus Bar Market Value (US$ Mn) Analysis and Forecast, 2017 - 2027
The Middle East, North Africa, and Pakistan Bus Bar Market was valued at US$ 996.4 Mn in 2020 and is expected to reach US$ 1,462.5 Mn by 2027 at a CAGR of 5.6% between 2019 and 2027.
Major players operating in the Middle East, North Africa, and Pakistan Bus Bar Market include Eaton Corporation, Hyundai Electric & Energy Systems, Luvata, Siemens AG, Mitsubishi Electric Corporation, General Electric, ABB Limited, Hitachi Ltd., Fuji Electric, Schneider Electric, Hyosung Corporation, Nexans S.A, Furukawa Electric Co., LTD., and Bahra Electric